Details of the US-China trade agreement made public by the White House

Historic Trade Deal Between the U.S. and China

The White House announced details of a significant trade agreement on Saturday between President Donald Trump and Chinese President Xi Jinping. This deal aims to ease the ongoing tensions between the two major economies.

Described as a “huge victory” by the administration, the agreement was finalized during a recent bilateral meeting in Busan, South Korea.

The deal incorporates lower tariffs from the U.S. and multiple commitments from China regarding fentanyl, rare earth exports, and agricultural trade, according to a White House statement.

It’s stated that the agreement “safeguards America’s economic strength and national security” while prioritizing the needs of American workers, farmers, and families.

Under this agreement, China will limit the flow of fentanyl precursor chemicals into the U.S., put a halt to new export controls on rare earth elements and magnets, reopen markets for U.S. agricultural products like soybeans, and revoke retaliatory measures against major U.S. companies.

Here are specific commitments made by China:

Suspension of new export restrictions on rare earths that were announced recently.

Issuing general licenses for the export of rare earths, gallium, germanium, antimony, and graphite.

Taking significant steps to reduce the flow of fentanyl to the U.S.

Ending all retaliatory tariffs that have been applied since March, including those on U.S. agricultural products.

Removing non-tariff measures that target U.S. industries.

Committing to purchase 12 million tons of U.S. soybeans by year’s end and 25 million tons annually until 2028.

Resuming imports of American sorghum and hardwood logs.

Restarting trading activities from Nexperia’s chip facility in China.

Lift sanctions that were enforced following U.S. investigations into maritime, logistics, and shipbuilding sectors in China.

Ending investigations into U.S. semiconductor companies.

Extending the tariff exemption process for U.S. imports until December 31, 2026.

In exchange, the United States has agreed to:

Lower tariffs on imported goods from China that were initially set to restrict fentanyl flow. The rates will increase by 10 percentage points starting November 10, while higher reciprocal tariffs will remain suspended until November 10, 2026.

Extend certain Section 301 tariff exemptions through November 10, 2026.

Delay the enforcement of new export regulations for affiliates of Chinese companies on a blacklist until November 10, 2026.

Suspend new trade measures related to investigations into China’s shipbuilding and logistics sectors until the end of 2026, while still collaborating with South Korea and Japan to bolster U.S. shipbuilding.

The White House praised this agreement as another “historic victory for the American people” during President Trump’s trip to Asia.

The trip also generated new trade agreements with Malaysia and Cambodia and created a framework for negotiations with Thailand and Vietnam. Moreover, it enhanced investment commitments from both Japan and South Korea.

The White House concluded, “This trade and economic agreement caps President Trump’s successful tour of Asia, during which he achieved a series of historic victories for the American public.”